Using the industry peer median P/E multiple (trailing + forward), Globe Life Inc. (GL) has a fair value of $162.96 based on 3 comparable companies in the Insurance - Life industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Globe Life Inc.GL | 11,187 | 9.8x | 9.5x |
| Aflac IncorporatedAFL | 55,727 | 15.8x | 14.2x |
| MetLife, Inc.MET | 45,997 | 14.5x | 8.0x |
| Prudential Financial, Inc.PRU | 33,084 | 9.3x | 6.6x |
| Industry Median | 14.5x | 8.0x | |
| (*) Profit after tax | 1,161 | 1,178 | |
| Equity Value | 16,888 | 9,463 | |
| (/) Outstanding shares | 81 | 81 | |
| Fair Price | $209 | $117 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.